The yeast nonchromosomal gene [URE3] is due to a prion form of the nitrogen
regulatory protein Ure2p. It is a negative regulator of nitrogen catabolis
m and acts by inhibiting the transcription factor Gln3p. Ure2p residues 1-8
0 are necessary for prion generation and propagation. The C-terminal fragme
nt retains nitrogen regulatory activity, albeit somewhat less efficiently t
han the full-length protein, and it also lowers the frequency of prion gene
ration. The crystal structure of this C-terminal fragment, Ure2p(97-354), a
t 2.3 A resolution is described here. It adopts the same fold as the glutat
hione S-transferase superfamily. consistent with their sequence similarity.
However, Ure2p(97-354) lacks a properly positioned catalytic residue that
is required for S-transferase activity. Residues within this regulatory fra
gment that have been indicated by mutational studies to influence prion gen
eration have been mapped onto the three-dimensional structure, and possible
implications for prion activity are discussed.